Senior citizen health insurance plans are specially designed to cater to the needs of older people. Aging increases the risk of health issues. Besides, after retirement, medical expenses can be difficult to tackle in an emergency situation. A senior citizen health insurance policy can help with coverage related to hospitalization, daycare expenses, ambulance costs and most importantly, pre-existing diseases that need long-term care. Senior citizens are eligible for income tax benefits under Section 80D of the Income Tax Act. Yes, there are exclusions and these may vary from insurer to insurer, so it is best to compare insurance policies to choose the right one.